SOUTHSIDE BANCSHARES INC (NYSE:SBSI) reported its fourth-quarter and full-year 2025 financial results, delivering a performance that fell short of Wall Street's expectations. The market's immediate reaction was decisively negative, with the stock trading down sharply in pre-market activity.
Earnings and Revenue Miss
The core figures from the quarter ended December 31, 2025, reveal a dual miss against analyst consensus estimates.
- Reported EPS (Non-GAAP): $0.70 per diluted share
- Estimated EPS: $0.8033 per share
- Reported Revenue: $64.92 million
- Estimated Revenue: $73.14 million
The company posted a net income of $21.0 million for the quarter. While profitable, the results indicate pressure on both the top and bottom lines compared to what analysts had projected. The earnings per share came in approximately 12.9% below estimates, while revenue missed expectations by about 11.2%.
Market Reaction and Recent Performance
The financial miss was met with a swift sell-off. In pre-market trading following the announcement, Southside Bancshares stock was indicated down approximately 6.5%. This sharp decline contrasts with the stock's more muted performance in the weeks leading up to the report, where it had been relatively flat over the past month. The pre-market drop suggests investors are repricing the stock based on the weaker-than-anticipated quarterly results.
Key Takeaways from the Earnings Release
The company's press release highlighted several financial metrics for the fourth quarter and full year, though it did not provide a formal quantitative outlook for the coming periods. Key reported items include the previously mentioned net income of $21.0 million and diluted EPS of $0.70 for Q4. The release also noted the tax-equivalent net interest margin on a linked-quarter basis, a critical profitability metric for banks, though the specific figure was not detailed in the provided summary. The full-year 2025 results were also announced concurrently with the quarterly figures.
Looking Ahead: Analyst Estimates for 2026
While the company did not issue its own guidance, current analyst estimates provide a benchmark for future performance. For the upcoming first quarter of 2026, the consensus is calling for earnings per share of approximately $0.75 on revenue of about $72.4 million. For the full 2026 year, analysts are projecting EPS of $3.17 and sales of $298.7 million. Investors will likely monitor Southside's upcoming quarters closely to see if the company can realign its performance with these forecasts or if a recalibration of expectations is necessary.
Conclusion
Southside Bancshares' Q4 2025 earnings report disappointed the market, with both profit and revenue falling short of consensus estimates. The significant pre-market decline reflects investor concern over this performance miss. As a community-focused bank, its results are often seen as a barometer for regional economic conditions. Moving forward, the focus will be on management's ability to navigate the current interest rate and economic environment to improve profitability and grow revenue in line with analyst projections for 2026.
For detailed historical earnings, future estimates, and analyst ratings, you can review the dedicated page for SOUTHSIDE BANCSHARES INC (NYSE:SBSI) .
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